Where are we really at in the real estate cycle?

So should we be surprised by news like the following from the LA Times this morning about New Home sales: “New home sales fall 3.6% Associated Press
WASHINGTON -- Sales of new homes dropped unexpectedly last month as the effects of a soon-to-expire tax credit for first-time owners started to wane.

The Commerce Department said Wednesday that sales fell 3.6 percent to a seasonally adjusted annual rate of 402,000 from a downwardly revised 417,000 in August. Economists surveyed by Thomson Reuters had expected a pace of 440,000….”

But clearly, people like David Lazarus from the LA Times see things a bit differently “we need to know by now that Home prices are up for a third straight month. If you're in the market for new digs and you haven't bought yet at fire-sale prices, that train's about to leave the station.”

So for all of you out there still waiting for the right time to buy, the time is now.

And, for all you buyers thinking that a Short sale will save you money and are a great deal, take note: I have said it once, twice, thrice – only if you have time, money and patience. I just read a great blog from a fellow realtor up in Seattle about the short sale process and where it can go wrong (many, many places) and what to expect. He sums it up well. I’m not saying don’t bother with short sales (I just closed on one recently that went relatively clean) but just take note that it can be a trying experience. Make sure you are working with someone well versed in the process from both the seller’s and buyer’s point of view.